Banks need to get their massiveforeclosure backlog off the books. There are over 368,000 cases in Florida. I get that.

Getting these properties into the hands of families who can afford them, that is what I want to see. It’s needed to jump start the economy, and no one wants to see the banks out of the neighborhoods more than me.

But it can’t be allowed to happen on the backs of other homeowners plain and simple. Lenders have tried to thrust these homes back onto the market before, and that’s why they just shelled out $25 billion.

The Senate version,which would create the “Florida Fair Foreclosure Act”, was passed by a judiciary committee earlier this week by a 5-2 vote. There is a similar bill making their way through the House.

Have the politicians in Tallahassee learned nothing from the settlement? The $25 billion isn’t even in the mail, yet some are back to their old tricks, turning a blind eye to the plights of their constituents and denying them due process.Continue reading→

Yesterday we expressed concern because we have yet to see the formal documents behind last week’s landmark $25 billion settlement, and it seems few people actually have.

HousingWire reports, through an unnamed source, that federal prosecutors plan to file them in court by the end of the month.

But of course herein lies the problem: We’ve heard how much money each individual state is getting, Florida alone is set to receive about $8.4 billion alone, but until the documents are filed, but until all I’s are dotted and all T’s crossed, those numbers are always subject to change!

While Rich Andreano, a banking lawyer quoted in the article says he doesn’t expect any drastic changes to the numbers, we still need to see them for ourselves!

And will we really see these documents filed this month? How many deadlines associated with the settlement have come and gone without a hint of activity?

Will we see any additional surprises, like additional immunity for the banks? Let’s hope not.

The problem with this headline is glaring. Donovan HOPES Fannie and Freddie will write down mortgages. Not he demands, not he insists, he hopes. Well I hope for world peace, doesn’t mean it will happen now does it?

Donovan told the Huffington Post that he thinks the people behind the two GSE’s will finally come on board the principal reduction train once they see the effects from last week’s settlement on the housing market. Donovan called their reluctance to engage in principal reduction, “quasi-religious”, which is the problem in a nutshell.Continue reading→

The federal agent whose team of “Untouchables” couldn’t be bought off and helped bring down Al Capone?

Schneiderman too has the era of a man who will not be co-opted. If anyone can stay above the fray and not be reeled in by the banks and their money, he can.

Investigation Going After Cause of Housing Crisis

Schneiderman has stood up to the President before, openly opposing the settlement agreement that we here at the South Florida Law Blog have railed against. And now he is Obama’s point man for placing blame and creating accountability for causing the worst economic crisis in the US since the Depression.

Elliot Ness

The Huffington Post is reporting that outside of claims directly relating to robo-signing fiasco, the banks will not be released from the threat of prosecution for the vast majority of securities-related crimes.Continue reading→

Between Dononvan’s comments and the recent white paper sent out by the Federal Reserve, it seems that more and more top government officials are finally realizing how important the housing market is to our economic recovery, not to mention their own political survival.

In the Huffington Post last September, Roy Oppenheim called housing the “thousand pound gorilla in the room” in the 2012 election, as many of the states with the highest underwater mortgages, such asFlorida, are also key electoral swing states. The pressure on Obama to be more aggressive on the banks is growing in Washington, and it’s about time.Continue reading→